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EX - 99.1 2 ex06302021991 pressrelease.htm EX - 99.1 Q2'21 EARNINGS RELEASE For : Immediate Release July 22 , 2021 Contact : 1st Source Corporation Reports Record Second Quarter Results , Cash Dividend Increased Exhibit 99.1 Andrea Short 574-235-2000 • • • • • • • QUARTERLY HIGHLIGHTS Net income was a record $ 30.22 million for the quarter , up 63.35 % from the second quarter of 2020. Diluted net income per common share was also a record at $ 1.19 , up from the prior year's second quarter of $ 0.72 . Cash dividend of $ 0.31 per common share approved , up 10.71 % from the $ 0.28 per common share declared a year ago . Return on average assets of 1.58 % and return on average common shareholders ' equity of 13.49 % compared to 1.04 % and 8.63 % , respectively in the second quarter of 2020 . Excluding the Paycheck Protection Program ( PPP ) loans , average loans and leases increased slightly from the previous quarter and decreased slightly from the second quarter of 2020. With PPP loans , average loans and leases were relatively flat from the previous quarter and were down $ 49.77 million or 0.89 % from the second quarter of 2020 . Average deposits increased $ 298.18 million , up 4.99 % from the previous quarter and grew $ 468.08 million or 8.06 % from the second quarter of 2020 . Net charge - offs were $ 0.16 million and nonperforming assets to loans and leases were 1.06 % compared to $ 0.11 million of net recoveries and 1.20 % , respectively in the second quarter of 2020 . Recovery of provision for credit losses of $ 3.03 million compared to a provision for credit losses of $ 10.38 million in the second quarter of 2020 . Net interest income increased $ 2.93 million , or 5.43 % from the second quarter of 2020 . Noninterest income decreased $ 0.34 million , or 1.36 % from the second quarter of 2020. Excluding leased equipment depreciation , noninterest income increased 6.21 % . Noninterest expenses increased $ 0.37 million , or 0.83 % from the second quarter of 2020. Excluding leased equipment depreciation , noninterest expense increased 4.95 % . - South Bend , IN 1st Source Corporation ( NASDAQ : SRCE ) , parent company of 1st Source Bank , today reported record quarterly net income of $ 30.22 million for the second quarter of 2021 , up 63.35 % from the $ 18.50 million reported in the second quarter a year ago , bringing the 2021 year - to - date net income to $ 58.33 million compared to $ 34.92 million in 2020 , an increase of 67.06 % . Diluted net income per common share for the second quarter of 2021 was up 65.28 % to $ 1.19 versus $ 0.72 in the second quarter of 2020. Diluted net income per common share for the first half of 2021 was $ 2.29 compared to $ 1.36 a year earlier , a 68.38 % increase . Year - to - date net income and earnings per share were positively impacted by providing $ 22.36 million less in the provision for credit losses compared to the provision for the prior year . This is a result of improved economic conditions this year compared to the extraordinarily uncertain circumstances presented by the pandemic a year ago . At its July 2021 meeting , the Board of Directors approved a cash dividend of $ 0.31 per common share , up 10.71 % from the $ 0.28 per common share declared a year ago . The cash dividend is payable to shareholders of record on August 3 , 2021 and will be paid on August 13 , 2021 . -1-